Create a free Manufacturing.net account to continue

ArcelorMittal To Build Egyptian Steel Plant

To meet the booming demand in the Middle East, steel maker bid $60 million to win an Egyptian government auction for a plant near the northern Red Sea coast.

BRUSSELS, Belgium (AP) — ArcelorMittal SA, the world's largest steel maker, said Wednesday it would spend about $60 million on a new steel plant in Egypt to supply booming demand in the Middle East.

The company said its bid of 340 million Egyptian pounds had won an Egyptian government auction for a plant near the northern Red Sea coast. Construction is to begin next year.

It will be ArcelorMittal's first steel facility in the country. The company is expanding steel shipments by more than a fifth over the next four years to win customers in fast-growing economies that are calling for more steel to construct buildings, machines and cars.

''The Middle East is a growth market for the steel industry and it makes sense for ArcelorMittal to expand its presence in the region,'' said the company's chief financial officer, Aditya Mittal.
The Luxembourg-based steel maker controls about 10 percent of world steel output.
More in Operations